THE EMPLOYMENT SITUATION—JANUARY 2014

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Transmission of material in this release is embargoed until8:30 a.m. (EST) Friday, February 7, 2014USDL-14-0168Technical information:Household data:(202) 691-6378 cpsinfo@bls.gov www.bls.gov/cpsEstablishment data: (202) 691-6555 cesinfo@bls.gov www.bls.gov/cesMedia contact:(202) 691-5902 PressOffice@bls.govTHE EMPLOYMENT SITUATION — JANUARY 2014Total nonfarm payroll employment rose by 113,000 in January, and the unemployment rate was littlechanged at 6.6 percent, the U.S. Bureau of Labor Statistics reported today. Employment grew inconstruction, manufacturing, wholesale trade, and mining.Changes to the Employment Situation DataEstablishment survey data have been revised as a result of the annual benchmarking processand the updating of seasonal adjustment factors. Also, household survey data for January 2014reflect updated population estimates. See the notes beginning on page 4 for more informationabout these changes.

Household Survey DataBoth the number of unemployed persons, at 10.2 million, and the unemployment rate, at 6.6 percent,changed little in January. Since October, the jobless rate has decreased by 0.6 percentage point. (Seetable A-1.) (See the note on page 6 and tables B and C for information about the effect of annualpopulation adjustments to the household survey estimates.)Among the major worker groups, the unemployment rates for adult men (6.2 percent), adult women(5.9 percent), teenagers (20.7 percent), whites (5.7 percent), blacks (12.1 percent), and Hispanics (8.4percent) showed little change in January. The jobless rate for Asians was 4.8 percent (not seasonallyadjusted), down by 1.7 percentage points over the year. (See tables A-1, A-2, and A-3.)The number of long-term unemployed (those jobless for 27 weeks or more), at 3.6 million, declined by232,000 in January. These individuals accounted for 35.8 percent of the unemployed. The number oflong-term unemployed has declined by 1.1 million over the year. (See table A-12.)After accounting for the annual adjustment to the population controls, the civilian labor force rose by499,000 in January, and the labor force participation rate edged up to 63.0 percent. Total employment,as measured by the household survey, increased by 616,000 over the month, and the employmentpopulation ratio increased by 0.2 percentage point to 58.8 percent. (See table A-1. For additionalinformation about the effects of the population adjustments, see table C.)The number of persons employed part time for economic reasons (sometimes referred to asinvoluntary part-time workers) fell by 514,000 to 7.3 million in January. These individuals wereworking part time because their hours had been cut back or because they were unable to find full-timework. (See table A-8.)In January, 2.6 million persons were marginally attached to the labor force, little changed from a yearearlier. (The data are not seasonally adjusted.) These individuals were not in the labor force, wanted andwere available for work, and had looked for a job sometime in the prior 12 months. They were notcounted as unemployed because they had not searched for work in the 4 weeks preceding the survey.(See table A-16.)Among the marginally attached, there were 837,000 discouraged workers in January, about unchangedfrom a year earlier. Discouraged workers are persons not currently looking for work because theybelieve no jobs are available for them. The remaining 1.8 million persons marginally attached to thelabor force in January had not searched for work for reasons such as school attendance or familyresponsibilities. (See table A-16.)Establishment Survey DataTotal nonfarm payroll employment increased by 113,000 in January. In 2013, employment growthaveraged 194,000 per month. In January, job gains occurred in construction, manufacturing, wholesaletrade, and mining. (See table B-1.)Construction added 48,000 jobs over the month, more than offsetting a decline of 22,000 in December.In January, job gains occurred in both residential and nonresidential building ( 13,000 and 8,000,respectively) and in nonresidential specialty trade contractors ( 13,000). Heavy and civil engineeringconstruction also added 10,000 jobs.-2-

Employment in manufacturing increased in January ( 21,000). Over the month, job gains occurred inmachinery ( 7,000), wood products ( 5,000), and motor vehicles and parts ( 5,000). Manufacturingadded an average of 7,000 jobs per month in 2013.In January, wholesale trade added 14,000 jobs, with most of the increase occurring in nondurable goods( 10,000).Mining added 7,000 jobs in January, compared with an average monthly gain of 2,000 jobs in 2013.Employment in professional and business services continued to trend up in January ( 36,000). Theindustry added an average of 55,000 jobs per month in 2013. Within the industry, professional andtechnical services added 20,000 jobs in January.Leisure and hospitality employment continued to trend up over the month ( 24,000). Job growth in theindustry averaged 38,000 per month in 2013.Employment in health care was essentially unchanged in January for the second consecutive month.Health care added an average of 17,000 jobs per month in 2013.Employment in retail trade changed little in January (-13,000). Within the industry, sporting goods,hobby, book, and music stores lost 22,000 jobs, offsetting job gains in the prior 3 months. In January,motor vehicle and parts dealers added 7,000 jobs.In January, federal government employment decreased by 12,000; the U.S. Postal Service accountedfor most of this decline (-9,000).Employment in other major industries, including transportation and warehousing, information, andfinancial activities, showed little or no change over the month.In January, the average workweek for all employees on private nonfarm payrolls was unchanged at34.4 hours. The manufacturing workweek declined by 0.2 hour to 40.7 hours, and factory overtimeedged down by 0.1 hour to 3.4 hours. The average workweek for production and nonsupervisoryemployees on private nonfarm payrolls was unchanged at 33.5 hours. (See tables B-2 and B-7.)Average hourly earnings for all employees on private nonfarm payrolls rose by 5 cents to 24.21.Over the year, average hourly earnings have risen by 46 cents, or 1.9 percent. In January, average hourlyearnings of private-sector production and nonsupervisory employees increased by 6 cents to 20.39.(See tables B-3 and B-8.)The change in total nonfarm payroll employment for November was revised from 241,000 to 274,000, and the change for December was revised from 74,000 to 75,000. With these revisions,employment gains in November and December were 34,000 higher than previously reported. Monthlyrevisions result from additional reports received from businesses since the last published estimates andthe monthly recalculation of seasonal factors. The annual benchmark process also contributed to therevisions in this news release.The Employment Situation for February is scheduled to be released on Friday, March 7, 2014, at8:30 a.m. (EST).-3-

Revisions to Establishment Survey DataIn accordance with annual practice, the establishment survey data released today have beenbenchmarked to reflect comprehensive counts of payroll jobs for March 2013. These counts are derivedprincipally from the Quarterly Census of Employment and Wages (QCEW), which enumerates jobscovered by the UI tax system. The benchmark process results in revisions to not seasonally adjusted datafrom April 2012 forward. Seasonally adjusted data from January 2009 forward are subject to revision. Inaddition, data for some series prior to 2009, both seasonally adjusted and unadjusted, incorporaterevisions.The total nonfarm employment level for March 2013 was revised upward by 369,000 ( 347,000 on a notseasonally adjusted basis, or 0.3 percent). The average benchmark revision over the past 10 years wasplus or minus 0.3 percent.This revision incorporates the reclassification of jobs in the QCEW. Private household employment isout of scope for the establishment survey. The QCEW reclassified some private household employmentinto an industry that is in scope for the establishment survey—services for the elderly and persons withdisabilities. This reclassification accounted for an increase of 466,000 jobs in the establishment survey.This increase of 466,000 associated with reclassification was offset by survey error of -119,000 for atotal net benchmark revision of 347,000 on a not seasonally adjusted basis. Historical time series havebeen reconstructed to incorporate these revisions.The effect of these revisions on the underlying trend in nonfarm payroll employment was minor. Forexample, the over-the-year change in total nonfarm employment for 2013 was revised from 2,186,000 to2,322,000 seasonally adjusted. Table A presents revised total nonfarm employment data on a seasonallyadjusted basis for January through December 2013.All revised historical CES data, as well as an article that discusses the benchmark and post-benchmarkrevisions and other technical issues can be accessed through the CES homepage at www.bls.gov/ces/.Information on the data released today also may be obtained by calling (202) 691-6555.-4-

Table A. Revisions in total nonfarm employment, January-December 2013, seasonally adjusted(Numbers in thousands)LevelYear and monthAspreviouslypublishedOver-the-month changeAsAs revised Difference previously As revised Differencepublished2013January 134,839February 135,171March. 135,313April. 135,512May. 135,688June. 135,860July. 135,949August. 136,187September 136,362October. 136,562November. 136,803December (p) . 36,434136,636136,800137,037137,311137,386p 2011492021642372747549-52-14232960-36-1137331

Adjustments to Population Estimates for the Household SurveyEffective with data for January 2014, updated population estimates have been used in the householdsurvey. Population estimates for the household survey are developed by the U.S. Census Bureau. Eachyear, the Census Bureau updates the estimates to reflect new information and assumptions about thegrowth of the population since the previous decennial census. The change in population reflected in thenew estimates results from adjustments for net international migration, updated vital statistics and otherinformation, and some methodological changes in the estimation process.In accordance with usual practice, BLS will not revise the official household survey estimates forDecember 2013 and earlier months. To show the impact of the population adjustments, however,differences in selected December 2013 labor force series based on the old and new population estimatesare shown in table B.The adjustments increased the estimated size of the civilian noninstitutional population in December by2,000, the civilian labor force by 24,000, employment by 22,000, and unemployment by 2,000. Thenumber of persons not in the labor force was reduced by 22,000. The total unemployment rate,employment-population ratio, and labor force participation rate were unaffected.Data users are cautioned that these annual population adjustments can affect the comparability ofhousehold data series over time. Table C shows the effect of the introduction of new populationestimates on the comparison of selected labor force measures between December 2013 and January2014. Additional information on the population adjustments and their effect on national labor forceestimates is available at www.bls.gov/cps/cps14adj.pdf.Table B. Effect of the updated population controls on December 2013 estimates by sex, race, andHispanic or Latino ethnicity, not seasonally adjusted(Numbers in thousands)CategoryCivilian noninstitutional population Civilian labor force Participation rate Employed Employment-population ratio Unemployed Unemployment rate Not in labor force 0-1.0-27White-65-17.0-16.0-1.0-48Black 18Hispanic orLatinoethnicity-57-38.0-34.0-4.0-18NOTE: Detail may not sum to totals because of rounding. Estimates for the above race groups (white, black orAfrican American, and Asian) do not sum to totals because data are not presented for all races. Persons whoseethnicity is identified as Hispanic or Latino may be of any race.-6-

Table C. December 2013-January 2014 changes in selected labor force measures,with adjustments for population control effects(Numbers in thousands)CategoryCivilian noninstitutional population Civilian labor force Participation rate Employed Employment-population ratio Unemployed Unemployment rate Not in labor force Dec.-Jan.change, aspublished2014populationcontrol Jan. change, afterremoving thepopulation controleffect1168499.2616.2-117-.1-3311This Dec.-Jan. change is calculated by subtracting the population control effect from theover-the-month change in the published seasonally adjusted estimates.NOTE: Detail may not sum to totals because of rounding.Change to the Household Survey TablesEffective with this release, household survey table A-10 includes two new seasonallyadjusted series for women age 55 and over—the number of unemployed persons and theunemployment rate. These replace the series that were previously displayed for thisgroup, which were not seasonally adjusted.Updated Veteran Weighting Methodology for Household SurveyBeginning with data for January 2014, estimates for veterans in table A-5 of this releaseincorporate updated weighting procedures. The new weighting methodology moreaccurately reflects the current demographic composition of the veteran population. Theprimary impact of the change was an increase in the “Gulf War-era I” veteran populationand a decrease in the number of veterans in the “Other service periods” category. Theupdated methodology had little effect on unemployment rates for veterans, regardless ofgender or period of service. Additional information on the effect of the change on laborforce estimates for veterans is available at www.bls.gov/cps/vetsweights2014.pdf.-7-

HOUSEHOLD DATASummary table A. Household data, seasonally adjusted[Numbers in thousands]CategoryJan.2013Nov.2013Dec.2013Change from:Dec. 2013Jan. 2014Jan.2014Employment statusCivilian noninstitutional population. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Civilian labor force. .Participation rate. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Employed. .Employment-population ratio. .Unemployed. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Unemployment rate. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Not in labor force. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . �Unemployment ratesTotal, 16 years and over. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Adult men (20 years and over). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Adult women (20 years and over). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Teenagers (16 to 19 years). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .White. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Black or African American. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Asian (not seasonally adjusted). .Hispanic or Latino ethnicity. .88.4––––––––Total, 25 years and over. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Less than a high school diploma. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .High school graduates, no college. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Some college or associate degree. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Bachelor’s degree and higher. 49.66.56.03.2–––––Reason for unemploymentJob losers and persons who completed temporary jobs. . . . . . . . . . . . . . . . . .Job leavers. .Reentrants. .New entrants. 1,2015,4078182,9371,184––––Duration of unemploymentLess than 5 weeks. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5 to 14 weeks. .15 to 26 weeks. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .27 weeks and over. d persons at work part timePart time for economic reasons. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Slack work or business conditions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Could only find part-time work. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Part time for noneconomic reasons. . . sons not in the labor force (not seasonally adjusted)Marginally attached to the labor force. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Discouraged workers. .2,4438042,0967622,4279172,592837––- December - January changes in household data are not shown due to the introduction of updated population controls.NOTE: Persons whose ethnicity is identified as Hispanic or Latino may be of any race. Detail for the seasonally adjusted data shown in this table willnot necessarily add to totals because of the independent seasonal adjustment of the various series. Updated population controls are introducedannually with the release of January data.

ESTABLISHMENT DATASummary table B. Establishment data, seasonally NT BY SELECTED INDUSTRY(Over-the-month change, in thousands)Total nonfarm. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Total private. . . . . . . . . . . . .

Also, household survey data for January 2014 reflect updated population estimates. See the notes beginning on page 4 for more information about these changes. - 2 - Household Survey Data Both the number of unemployed persons, at 10.2 million, and the unemployment rate, at 6.6 percent,

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